Steel Products Prices North America
ArcelorMittal Draws Line in the Sand with New Base Prices
Written by Tim Triplett
April 30, 2020
Steel Market Update sources report that ArcelorMittal USA has informed them of new, higher base prices for flat rolled steel products. Effective immediately, the base for future orders of hot rolled is $500 per ton ($25/cwt) and cold rolled and coated products have a base of $700 per ton ($35/cwt). These prices are applicable to all new spot orders and recent quotations that have not yet been accepted by ArcelorMittal or AM/NS Calvert. ArcelorMittal’s order book is now open for June.
SMU put the average price for hot rolled this week at $460 per ton ($23/cwt) and cold rolled and galvanized at $650 ($32.50).
The last price increase announcement by ArcelorMittal was on Feb. 27 when they advised their spot customers of base price levels of $620 per ton on hot rolled, and cold rolled and coated at $820 per ton. After a brief bump, steel prices drifted down for much of the first quarter before plummeting in the second half of March when the government ordered nonessential businesses to close to stop the spread of COVID-19.
With scrap prices expected to trade sideways or higher in May due to extremely tight scrap supplies, market observers were speculating that finished steel prices might begin to bottom soon. Steel Market Update changed its Price Momentum Indicator to Neutral from Lower today, as the market direction is now in a transition phase. Whether the increase sticks or fails will ultimately depend on demand, and if enough supply has been removed from the market which will keep order books tight.
Tim Triplett
Read more from Tim TriplettLatest in Steel Products Prices North America
CRU: Q3 will be the lowest point in current sheet price cycle
CRU Principal Analyst Shankhadeep Mukherjee expects a restocking cycle for steel sheet products in most parts of the world due to either low inventories or seasonally stronger demand.
CRU: US rebar and wire rod prices rise alongside S232 increase
CRU Senior Steel Analyst Alexandra Anderson discusses current market and pricing dynamics for long steel products in the US.
SMU Price Ranges: Sheet and plate steady ahead of Independence Day
Sheet and plate prices were little changed in the shortened week ahead of Independence Day, according to SMU’s latest check of the market.
Nucor maintains plate prices, opens August order book
Nucor aims to keep plate prices flat again with the opening of its August order book.
Nucor CSP remains level at $900/ton
Nucor maintained its weekly list price for hot-rolled (HR) coil this week, following two consecutive increases.